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tv   Lou Dobbs Tonight  FOX Business  October 1, 2012 7:00pm-8:00pm EDT

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away my bacon, there are few things more un-american than not being able to eat bacon. that is it for tonight's willis report. lou: good evening, obama administration has a problem even liberal media can't ignore, president's reelection team continues to make conflicts statements about the president's knowledge of the terrorist attack in benghazi, the white house and campaign staff appear mired in the confusion, it could be the president who pays the price at the polls, senior campaign advisor axelrod seems to be trying to rewrite history of the response to the september 11 anniversary attack. >> he called it an act of terror
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the day after it happened. when you are the administration, you have a responsibility to act on what you know and what the intelligence community believes. lou: but senior white house advertiser telling i much different story just moments after mr. axelrod's comments. >> i think now based on the investigation of intelligence, they made the decision, to conclude that 24-6s a terrorist a-- that this was a terrorist attack. in the day as after it was not clear. lou: a direct contradition of one another. by two senior members of the president's campaign team. when is it? which raises the question why security officers were not the ones speaks to media. meanwhile, as they offer conflicting accounts of what president obama knew and when, the obama administration today rejected calls for u.n.
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ambassador suzanne rice to resign, rice was on sunday morning show circuit 5 days after the benghazi attacks, maintaining evidence that pointed then to a spantainous ac -- spontanious attack. statements proved false by sources in the intelligence community and state department, and reported by fox news. a spoke person for secretary of state clinton said that secretary believes rice has done 88 a suburb job as -- done a quote, suburb job as u.n. ambassador. contravened their statements to the american people. and congress. we'll take all that up here tonight with former cia operative, mike baker, author of "new york times" bestseller, the amateur, inside look at obama administration. ed klein, what would mildred friedman think of obamanomics.
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is this a cover-up by the obama administration? certainly the administration has stonewalled congress and the national media about details of what happened on september 11. the obama administration is chosen to rely on the fbi to investigate the terrorist attacks in benghazi. which killed 4 americans including our ambassador. fbi investigators however remain in tripoli, they have now been for almost 3 weeks, they have done nothing, seen nothing, and obama administration, refers all questions to the fbi. which knows nothing. one could say, conveniently show, fox news correspondent katherine hairage has been reporting this throughout we turn to katherine for a live report. reporter: thank you lou, within the last hour, i have interviewed head of house intelligence committee, mike rodgers, he told me he believes
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that obama administration has politicized to fit a story line of a youtube video clip that was the driving force behind the benghazi attack. >> i argue the administration made serious mistakes when they highlighted video and took it on tv to with u.s. taxpayer dollars, they were serious mistakes we're paying the price for, it was because after that view she they thought their intelligence, what they wanted it to be not what it was. reporter: this statement issued friday, this is nation's top intelligence officer, congressman rogerred say he felt it may matters worse. >> parts of the problem is this circling of the wagons that is really concerning about this. americans need continued to the truth. and the togethers are what the facts are, and the intelligence is what it is, we have to avoid
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this notion of any political convenience of any political interpretation we're we'll maker isious mistakes. reporter: fox news has confirmed there is intelligence, evidence shows that former guantanamo bay detainee ben -- cumo trained some of the operatives. and planning took several days in benghazi and there is evidence to so such, the administration, argues or defers to fbi investigation in what we reported today is that for 20 days fbi has not been on the ground in benghazi, so does not have a complete picture of what is this, and one can conclude this crime seen, has been fully compromised. lou: thank you very much. joining me now, mike baker,
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former cia covert operations officer. good to have you here. this is -- if you will, a device of some convenience for this administration to defer to the fbi, they have known for a while that fbi has had no access to what is not a crime scene, but a scene of terror. which, it has taken to administration a long time to acknowledge. >> you would think, if they did this right now, then the response at out set, as soon as dust settled on the attack, we don't have details, we have to wait for the investigation, their narrative from the start was this was spontaneous, that happened from a protest, which was not considering employee -- occurring. instead now they want to say, we can't talk about this any more
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because the fbi is doing this. the fbi is very good at this, they are very good investigating in terms of post attack situations. but they have to be on sight. lou: it seems that would have occurred to someone in the administration if not the justice department itself. the other aspect is deeply troubles, is the fact that there is no understanding on the part of the administration whether it be expressed through secretary of state ore through the white e security app rates thank you that actually the libyans knew that was happening and reported precisely that, one wonders where the intelligence was that was being so misconstrued by our analyst, and respected to the president, when the president of libya knew full well and
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straightforward about assessing what happened. >> i got a bit of a different take, we're getting lost to some degree -- -- >> before you take us in a direct, which i am delighted do you, but i would like a response to what i asked first. >> i really don't know if i can separate the them, i look at this from 17 years working over seas often times in state department in secure facilities and dialing with critical issues. lou: let me recast it then. perhaps how it will coincide with our perspective, the libyan government understood and said clearly what happened. it was in direct contravention to what the president and spokesman said and were told. they have no other intelligence sources. >> i have spent enough times
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overseas, and most of my adult life, to know that sometimes you have to take with a grain of salt what the most country is stay -- host country is saying, i understand sometimes skepticism over host country, this is what happened. but, in this case, to your point, the libyan government of right. my 5-year-old boy could have figured it out this was a terrorist-related incident planned ahead of time just by looking at tactics used. fields of fire, the way that the attackers moved and all of the information leading up to this saying common sense would tell you this was a preplanned attack. lou: and we're watching our ambassador, lead to a safe house that was neither safe or protected. and the fact that the terrorists knew there was a safe house located at that position and at is where they killed him,
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led your intelligence analyst to correctly understand that this was a terrorist attack. what is the game being played? because the fbi -- this has become a farce -- whatever the fbi can do will be minimized from what they could have done in early hours following this. >> this is a fully compromised crime scene at this point, all viewers out there who spent years watching csi understand that. the problem is we're lost in the semantics do we miss a piece of intelligence in date leads up to this attack, this occurred on anniversary of 9/11, common sense would tell you yes there is a possibility. but, the thing they white house does not want to talk about is how badly they screwed up, that assessment, a year ago, when we decided to have a consulate in benghazi, it is a war zone, we
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know there was massive amounts of weapons there. lou: is the state department capicapable of such irresponsibility. this is such a deeply disturbing conclusion it seems you are intimating. >> again, i look at it from a operational perspective, i don't know about politics. lou: that is not a political question. >> yes, it is inepttude or willful ignorance of a fact they know they are in a high -- area, and they allow senior most diplomat to travel up to what they knew was a security issue on 9/11, put that together. lou: put your 5-year-old on notice, there is likely to be a opening soon, mike baker thank you.
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>> thank you. lou: much more, president obama's home state public employees pensions bleeding illinois dry. their governor crying for help. would a second obama ter term ma bail out for illinois? we take a look. >> president headlines vegas as he prepares for the first presidential debate. >> you may have heard, in a few days my opponent in this elect, and i are having a debate, i am looking forward to it. it. i. lou: ed klein author of best selling book, the amateur, on the obama administration, here next.
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lou: the president holed up in las vegas prepatiencing for thk- preparing for first debate on wednesday. what is going on with this campaign team? on wall street first, stocks kicking off with modest games, dow industrials up 78, and s&p rose 4, and nazdaq fell 3, manufacturing, unprim unexpectew in september for the first time in 4 months. but construct went down.
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and federal reserve chairman ben bernanke defended fed's policies for the first time since launching qe3, saying that fed needs to drive down borrowing costs because the economy is not growing fast enough to reduce high unemployment. surely there is a left in which employment can be created. >> there will belay offs at lockheed-martin in the beginning of the year, but they will not warn the employees of impeding li offs as it is legally retired to today, obama labor department told lockheed they do not need to abide by the law. telling lockheed it will cover potential legal costs if they incur any benpality, obama
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administration. clearly does not want those layoff notices delivered just days before the election. >> president obama downplaying expectations for wednesday's debate. saying he is an okay debater, according to a new washington post abc news poll, 55 percent of likely voters think that president will win this first debate, and 41% think that romney will win. joining me now, ed klein, author of "new york times" best seller "the amateur." great to see you, this is cute, the downplay, one of these, i can't think of another moment of modesty on the part of this president other than this example of trying to manage expectations. >> the golden-floated orator is bumbling,. lou: the idea he is such a heavy favorite to win the debate, that
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has to work in governor romney's favor. >> almost 6 out of 10 americans think that obama will take this debate, romney goes in as under dog with low expectations, if he does well, he will exceed those expectations. i think he has a good chance of winning this debate. lou: what about, you made it clear, you are not overly impressed with the mr. obama's capabilities, he is no bill clinton in that regard. hollywood will be prompter-free. >> we've seen obama say there are 57 states in the union, then he goes, some kind of -- takes over his face, and it looks like he is caught in the lights like a deer. when he does not hit the ball in the sweet spot, he starts to crumble a little bit. because, the facade is so important to him. lou: you think that -- who is
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more gaffe prone? who has do you think the greater likelihood of committing, well significant mistake. >> i am sure romney does not offer $10,000 bet. lou: i remember governor perry's face. >> obama will have to think how many books do i have to sell to make $10,000. lou: did you see the pictures, sitting with a big wad of cash in his hand, president is well-heeled. >> you think that mitt romney is a businessman, not a politician, really, at heart. lou: for crying out loud, you can tell me a lot of things but you cannot sell me, that this man mas been running for president now for years, and years, he is a former governor, he spent the last part of his life speaking public service. >> i agree, but his head is like
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a be man's head. -- like a businessman's head, you say what comes into your mind, you are the ceo, you are laying down the rules, and very often he does not calculate what the implications of what he is saying. lou: or, my experience with ceos are different, i found them guarded, careful and not swash buckling types but very careful, and calculating. >> maybe romney is not the great businessman we thought he was. lou: the money says differently, what -- what do you think is going on here in libya? this artifice you know talk to fbi, and fbi agents investigating it in tripoli. >> this is run out of chicago by david and axelrod, they are
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trying to get through this economylection -- election. >> i think finally mainstream media which was out to lunch on this story has begun to engage in the story, you see it now here, there "l.a. times" "new york times." lou: you chose out to lunch, i would go in the tank. >> in the tank. lou: ed klein thank you other of "the amateur." the box office showing some signs of life, animated comedy "hotehotel transylvania at num one. and "looper," and "end of watc
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watch." up next, no state bailouts. senator jim demint draws a line after the governor of illinois, they say he was floating the idea, he was desperate, and still is and begging for federal help. that means your money and mine to bailout the state of illinois. >> and the united states and mexican government in secret high level meetings, they are just talking. not to conduct a war on drugs, but 30 meetings, you will love what they were talking about. jack, you'ra little boring. boring. boring. [ jack ] after lauren broke up with me, i wento the citi private pass page and decided to be...not boring. that's how i met marilyn... giada...
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lou: what's next in the mayor emanual chicago teachs back room dealing, i hate to tell you it has to be the pensions, i told you sucking up 71-cents out of every education dollar in illinois. political theater indulged here did not address of unfunded teacher pensions. that is what i'm talking about that is me talking about the chicago teacher union settlement with rahm emanuel, and all of the political theater that and all of the political heater that attended, and as a to you at that time, it is all about, all about the pensions and the pensions pay for them. and the governor is now quoting the idea of a federal bailout of illinois mentioned that. can you believe this stuff? and mean, a little -- just all
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little decency here, folks. announcing the state's fiscal 2012 budget last year governor quinn said he would seek a federal guarantee of its unfunded liabilities. sounds harmless enough, but ask about it back then. the governor claimed to bailout language was a precaution. now he calls it a drafting error. others try to call it a trial balloon. how big is the illinois problem? it has $8 billion in current outstanding debt. 8 billion. you say, okay. 8 billion. we live in a land of $16 trillion debt. the stuff some much. taxpayers are on the hook for more than $200 billion. it's starting to add up, is in this? illinois has a couple of problems. unfunded pension liability. we will call them unfunded pension liabilities because the
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government likes acronyms. pension fund could go broke as early as 2018. as i said, on that tape last month, $0.71 out of every dollar , every education dollar goes to a teacher -- you're going to love this retirement and health care. meanwhile, the chicago teachers pension fund is paying out more than a billion dollars a year. a billion dollars a year, much more than it's taking in. the issue was not even up for negotiation in that teacher strike. i wonder about that. the mayor has the gall to call the settlement and honest compromise.
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two problems with that. it was not a compromise. it was already a prepackaged deal, and there was nothing honest about it except the clear intent to screw the illinois taxpayer and potentially the federal taxpayer. illinois is not alone, by the -ay. state's overall, this is lovely. to in the half across the country to in the half trillion dollars in unfunded pension cost two and a half trillion. make no mistake about it, this is a scam being run in states like illinois, california. the question is just how big it shop on the rest of this going to be. what it is, it is a big, big old circle of money. and it goes from democrats, in nearly every instance can't deliver unions from taxpayers and goes to a -- i'm sorry.
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there is no beneficiary of that really because in illinois and chicago and particular, 15 percent of the students, 15 percent of the students are proficient. 52 percent can't even read at the basic level. so how longer we going to put up with this little circle of money? i mean, after you watch this stuff it's pretty clear. bernie madoff was a democrat. chinese hackers its computers holding this country's codes to our nuclear weapons. president obama had called such a cyber attacks meant war. why is the administration ducking and covering now? new details in the deadly operation fast and furious gunrunning operation. we will tell you who uncovered more guns links to the obama atf
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operation and to they were used to kill. and what would milton friedman think? federal taxpayers bailing out states. the author of the new milton friedman biography here next. sites of room
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♪ lou: milton friedman changed the economic history in this country, the political history, what are you, as well. joining me now with a look and a collection of free men essays that still provide great insight into pressing issues of the day, the author of a new book, the editor of the new book, the indispensable milton friedman and jack scholar at the cato institute. good to have you with this. >> is great to be with you. the idea at that friedman has had so much of an impact on the ideas, the discipline of
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economics, but profoundly on american political history, that does not come as a surprise to many people. but the degree to which he has influenced political history, i think, is a shock to a lot of folks. >> i think there are few people, there are few people who have had more influence than milton friedman on politics and economics in the last half century. and certainly would john maynard, one of the two great economists of the 20th century. so many public policy areas from flexible international exchange rates to a lower rate of inflation, lower taxes, less government. all volunteer army. lou: what, do you think, professor friedman would think of bin bernanke's federal reserve today? >> well, i think that friedman largely would have supported the actions that the fed has taken. that is certainly ben bernanke
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position who is a great scholar of milton friedman and also the great depression. i think that in an extraordinary circumstances you would argue that the extraordinary measures are called for and that the fed really has tried to avoid a repeat of the 1930's when there was a great decline in the velocity of money and there was actual inflation. that hasn't happened. lou: you don't think he would be and that'll nonplussed by too much coincidence with keynesian economics? >> no. i think that on the fiscal side he would very much opposed the economic stimulus of president obama. i'm sure he would oppose obamacare. when it comes straight to monetary policy, i think that freedom would think that this was a circumstance where more expansive monetary policy was called for. lou: bless you -- push you very quickly. what will be the outcome of qb three in all this monetary expansion and enlarging the >> there is no question that fox
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business and to have not resulted in significant inflation at this point in time, at least as measured by the cpi. whether that holds with remains to be seen. but if history is a guy that think that the fed may yet be able to of retreat from this circumstance without having an excessive inflation. lou: you were an optimistic fellow. i like that. the idea that governor clinton in illinois wants the federal taxpayers to bail out the state of illinois, what would the doctor's recommendation b? >> certainly would have opposed the idea of a federal bailout. first of all, it is a waste of taxpayers' money. unnecessary borrowing at the federal level. secondly, it is just to pay up to public employee unions to allow them to continue to receive benefits and pensions and other aspects of the
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employment that are not comparable to the private sector. so certainly would have opposed a bailout of the illinois or any other state pension system. lou: thank you for being here. the book is the indispensable milton friedman. a great title. and an accurate description of the subject of your book. thank you so much for being here. up next, chinese checkers carried out a successful cyber attack on the united states. by the way, you remember, we were told that would be an act of war if that happens. why is the obama administration -- well, what are they doing? it is in declaring war. that story. coming up tomorrow, is the obama administration planning on building a labor unions? a little flexibility. we will see. ♪
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lou: the white house confirming that it was the target of a cyber attacks originating in china. the obama administration had not identified the source of the attack earlier. fox news not reporting eckersley to the chinese government are responsible for the breach of computers belonging to the white house military office. by the way, that includes the codes for u.s. nuclear commands. the white house's downplaying the cyber attacks saying there is no indication that any debt was removed which seems like a particular statement sends data does not have to be removed to, of course, be read and identified. back in may the pentagon struck a harsher tone saying it would consider cyber attacks acts of war. we are awaiting further comment by the white house. a new report timed it dozens of programs operation fast and furious. according to univision, it found
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links between 57 previously unidentified weapons and a series of murders that took place in mexico, particularly near warren spirits of the weapons were used by drug cartel members to slaughter 14 teenagers at a birthday party. others used in the massacre of 18 men at a rehab center in juarez. more than 2,000 were allowed across the border by the justice department and alcohol and tobacco and firearms in operation fast injurious. just 1202 of those weapons have been recovered. young illegal immigrants are now allowed driver's licensss in california. under a bill that governor jerry brown signed into law just last night. the measure makes an estimated 400,000 illegal immigrants eligible to drive legally in california if they qualify for the obama administration federal work permit program imposed by executive order. no other state has enacted a
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similar law. new revelations tonight. members of the obama administration had met with mexican government officials roughly 30 times. the purpose of those meetings, to promote food stamp youth -- use among mexican immigrants. the meeting was disclosed by agriculture secretary tom bell said in a letter to senator jeff sessions to raise questions about the need for such a promotional program back in july according to the senator the number of legal non-citizens on food stamps has quadrupled since 2001. more than doubled since president obama took office. roughly one half million people. amoco industry says restoration hardware not only copy the company's best-selling chair, it stole the name as well. a manufacturer based in hanover, pennsylvania. the company's navy chair, there it is, one design awards as included in prominent collections and museums, sold in 48 countries. restoration hardware is now
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offering a line of navy branded chairs and schools that look, well, very similar. the company hit restoration with a lawsuit. charging various trademark and design infringement saying it is being dramatically harmed by the hardware giants action. up next, president obama dumped expectations ahead of the first presidential debate. some humility from president obama. really, really? the "a-team" will assess all of that and much more. we are joined. there they are. here they come. we're coming right back. this ppy couple used capital one venture miles
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lou: joining me now, the "a-team". it to have you all here. let's start with, first of all, these polls are very tight suddenly. obviously president obama still enjoying fairly strong leads in the numbers. naturally this thing is tight. are you surprised? >> of all. now that we have kids back in school, people are finally paying attention to this race that they haven't been during the summer months. look at what's going on within gauzy. it is so much more profound to me. this is a very serious doubt potentially very serious cover-up. what you think? is this a ministration trying? >> as the county prosecutor and
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it is critical that the crime scene be investigated, they have gone by, a huge political issue, think the political issue is going to be resolved on wednesday at the debates that are going to take place. lou: what is your counsel to governor romney on the issue of benghazi? >> his strong suit is not for repairs. -- foreign affairs. lou: logic. >> we are watching this, we have seen this side by side. chicago and from washington. if you're talking about esoteric , 30 of 40 marine people their watching michele. lou: a very interesting point.
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lou: we hope it will be a show. mr. obama, i would question mr. romney's business credentials. lou: governor run the show and a bank statement? would that satisfy you? >> i think obama is going to be lucky that foreign policy is not part of the first debate. you have to wait until october october 16th. only domestic policy. the first debate, of what will be surface impressions. this is the last time mitt romney will have a chance to make a good first impression of the bunch of others who have only seen -- >> what should you try to convey in that first impression with millions of americans? >> presidential stature, the ability to the executive as governor of massachusetts and the business world. lou: to the obama have presidential stature? >> he is the president.
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lou: that is presidential. i agree that he will be. the last four years he has been our president. lou: talking about governor romney. >> here is what i'm looking at for wednesday. that one of the first times president obama has been pushed the last four years. seven the white house have not served there. never tell the president reagan did not want to year. romney will respect the office of the presidency, but pushing very hard on the president's record. obama has a reputation. lou: i hear you all saying, the six together three of using to be agreeing this is a first impression. sipping a coke at the fountain stand in the local drugstore. and there will be no opportunity for substance, no opportunity for conflict in the debate, substance of any kind.
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i say to you, there ain't going to be a show. >> there will be lots of substance. the sliver of voters are undecided, one thing we know about them is that they pay no attention to current events. they do have an influence for first impressions. image is very important. if they're is a singer and romney or obama really let fly and catch the other guy in something that is embarrassing or untoward then i think there will pay attention. lou: an opportunity to display with, to show humor and have -- and despite much terrific in the standing of the issues and involve all that in your basic principles. a man who was to be president. >> i think that's right.
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that was one of the things we did heading to the first republican debate. allow people to get to no you are as a person. a little bit of insight and your character, this is where i disagree with you. talk about the substance. very important. lou: with you disagreeing with? >> substance. lou: no, you guys said that is what you were saying. >> right now the romney people have been bludgeoned by lots of polls that show their men behind. they want to be reassured that their candid can go toe to toe with barack obama. there is a problem. there is an enthusiasm problem. i'm in this game. we have three debates. i'm back. lou: chinese hackers. the white house military office. accessing the codes to the nuclear-weapons. this country.
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and there is no public response. there is no statement. there is nothing. what is happening here? >> i guess we are giving our bankers access to everything. lou: due diligence. >> this is outrageous to me. the white house military office, the second floor of the string and the white house and is not just the military code, the transportation, marine one mon-khmer force one, military personnel. there is no public comment. this is a very significant breach of national security and proprietary information. lou: estimated 250. believe the number is 250,000 attacks the day on systems of the as this government. this is not unexpected that they would try. it has been no subject of public the initiation or statements in any way by the federal government, not under this present, but the previous president. >> one thing we are learning about china is this, the chinese
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government may say one thing. china is filled with layers and layers of authority and lots of independent actors, warlords, economic or large, generals, people liberation army, the chinese government may be doing this with, shall we say, the left hand not knowing what the extreme left and is -- lou: here is one thing i hope everyone has learned a foreign policy of the course of the past ticket to try and that is we better understand ourselves before we attempt all of this suggestion of knowing the enemy. you know. the fact of the matter is we are learning something about ourselves. in this revelation is a suggestion that we better get a lot tougher and a lot smarter and soon. my humble opinion. >> humble opinion. lou: thank you very much. appreciate it. up next, one viewer's perspective on the insignificance death. that's right. i said insignificant. for going to the end box next. ♪ ely.
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lou: our president does not seem to understand that the words bin laden is dead hold no meaning as there are hundreds taking his place as evidenced in the september 11th 2012 harris -- terrorist attack. one hopes not that many, but many others obviously will try to follow in his footsteps. charles gave me his thoughts on


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